The Union Cabinet approved the Online Gaming Bill on August 19, 2025, aiming to regulate the booming online gaming sector in India by making online betting punishable and imposing penalties on promoters and endorsers.
The legislation seeks to address concerns about addiction, financial fraud, and deceptive advertising related to betting apps. Since 2022, over 1,400 illegal betting platforms have been blocked. The bill also proposes strict accountability on celebrities and influencers endorsing such apps, emphasizing user protection and responsible gaming.
Comprehensive Legal Framework for Online Gaming
The recently approved Online Gaming Bill introduces a broad legal framework to regulate online gaming platforms in India, with a strong focus on curtailing illegal betting. The bill classifies online betting as a punishable offence, empowering authorities to take strict action against operators and users involved in unauthorized gambling activities.
Significantly, it extends accountability to endorsers such as television celebrities and social media influencers who promote betting apps, subjecting them to penalties to deter misleading advertisements. Government sources highlight that this approach aims to strike a balance between fostering the growth of the gaming industry and shielding consumer interests from exploitation and addiction.
Government Measures Against Illegal Betting and Awareness Initiatives
The new law complements ongoing governmental efforts that have already seen more than 1,400 illegal betting websites and applications being blocked between 2022 and early 2025. In addition, the Bharatiya Nyaya Sanhita criminal provisions enacted last year impose stiff penalties including jail terms of up to seven years for unauthorized betting.
The government has also levied a 28% GST on online gaming revenue since October 2023 and imposed a 30% tax on winnings starting in the fiscal year 2024–25. Ministries such as Education and Information & Broadcasting have issued advisories urging parents, teachers, and broadcasters to promote awareness on the financial risks and addictive potential of betting games. These multipronged strategies demonstrate the government’s commitment to creating a safer digital landscape for users.
Economic and Social Implications of the Bill
With India’s online gaming sector growing rapidly, the need for regulatory oversight has become critical. The Online Gaming Bill not only strengthens the legal foundation but also assures investors and users of a safer and governed ecosystem. The curbs on endorsements and advertisements seek to curb the glamorization of gambling, which often entices vulnerable audiences, including youth and those prone to addiction.
Officials emphasize that these measures will protect consumers from deceptive practices while encouraging responsible participation. This legal clarity is expected to enhance industry credibility and foster sustainable growth in the sector.
The Logical Indian’s Perspective
The Logical Indian welcomes the assertive move by the Union Cabinet to regulate online gaming with a focus on consumer safety, transparency, and ethical promotion. The bill embodies the need to balance digital innovation with public welfare by eliminating grey areas that allowed illegal betting to flourish unchecked.
Encouraging accountability for all players, including endorsers, is crucial to combat addiction and financial harm. We call upon policymakers, industry stakeholders, and communities to work collaboratively towards building an online gaming culture that is secure, ethical, and enjoyable.
